The balance in revaluation account on admission of a partner is transferred to
The revaluation balance is transferred to the old partners' capital accounts in their old profit-sharing ratio. Gains and losses arising before the new partner's admission…
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The balance in revaluation account on admission of a partner is transferred to
Answer and explanation
Correct answer A
The revaluation balance is transferred to the old partners' capital accounts in their old profit-sharing ratio. Gains and losses arising before the new partner's admission belong to the partners who held the business at that time.
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Gujarat SET (GSET)